It's trendy to talk about the use of design in digital product development and banking transformation. But there is a great misconception about digital products that not a lot of people are aware of...
Design is NOT a matter of how your product looks like. Design is about what your customer feels.
A lot of decision-makers believe that finance is all about rationality. But that's not true. Humans are economically irrational. And that's a fact proven by the research of Nobel laureate Daniel Kahneman.
Digital Transformation in Banking Depends on Users
Human brain does not enjoy doing calculations and remembering numbers. And you know what? It's perfectly normal and natural because economics are NOT in human nature. We are emotional creatures! Our irrational, unconscious emotions drive 80% of our behavior.
Many believe that digital means coding, technology, innovations, and other technical stuff. But if the user can't
- understand your product;
- get some value out of it;
- feel the emotional connection with it
not a seemingly brilliant marketing strategy nor a huge advertising budget won't ever save you.
We have come to a point where it's extremely important to understand that mistakes made in the financial design can lead to millions in losses.
In order to prevent this and ensure the success of your digital product in the long term - bring emotions to it. Make sure your financial service is pleasant to use! As Don Norman, the father of cognitive engineering has said:
"There is no need to sacrifice beauty for usability or, for that matter, usability for beauty".
The only way to create a product your users will love is to develop digital solutions using the User Experience methodology and the Design Thinking approach. This provides the needed “magic” ingredients to deliver solutions that will not only serve customers according to their needs but also set up an emotional connection fulfilling their expectations.
If you look at hugely successful companies that have integrated Design Thinking into their very core, into their DNA you can see five times bigger Price/Earnings rates than average.
Let the numbers speak, do your math but please, DO NOT forget about the emotions.
Do you have any questions about financial design, Design Thinking and User Experience Methodology advantages in digital transformation of banking?
Feel free to send them in as a comment or a direct message, we will cover the topic in the next UXDA Vlog video!